Author: Paul Wallbank

  • Facebook goes places

    Facebook goes places

    The relaunch of local discovery service Facebook Places was low key and remained un-noted until picked up by a German blogger this week.

    Facebook’s local service is, on first look, quite impressive with it pulling together various features and data sources to give a quick guide to what’s on and what’s attractive in a city based on a user’s history.

    In that respect it’s a clear threat to Yelp!, Tripadvisor and Google; particularly given the convenience of using a single app and getting recommendations based on the service most people spend the bulk of their online time upon.

    At this stage it doesn’t appear the service is doing too much with the local business feature but it’s only a matter of time before those details start being fed into the algorithm as well.

    Once again it shows why listings are important for local businesses. It may also be that Facebook is cracking the largely untapped local business market.

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  • Fiddling with the feeds

    Fiddling with the feeds

    Finally Twitter have announced the changes they will be making in an effort to attract more users.

    The changes are risky, and controversial, as messing with people’s feed risks alienating loyal users. If the changes prove unpopular it may make Twitter’s problems worse.

    Whether the changes are enough to justify Twitter’s sky high stock market valuation and can attract the numbers of users the company needs to keep the faith of investors remains to be seen.

    Zuckerberg’s Curse is biting Twitter hard and the company needs to figure out whether frantically trying to entice uninterested users and meet high, and possibly impossible, benchmarks is the best course for the service’s future.

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  • When the virtual mob comes calling

    When the virtual mob comes calling

    In China, the human flesh search engines track down people who have offended the herd sensibility.

    As Australia becomes more conservative and reactionary, the same phenomena is developing Down Under. Aussie businesses now have to be prepared for when they come to the attention of an online lynch mob.

    Last weekend a South Australian dairy company, the Fleurieu Milk and Yoghurt Company, announced it would not be seeking Halal certification for its yoghurts following concerted harassment from bigots, a decision that will cost it a $50,000 contract with Emirates Airlines.

    Fleurieu was not the first company to be targeted by groups of online bigots, a few weeks earlier Maleny Dairies from the Queensland Sunshine Coast announced it would not seek Halal certification for after being deluged with queries from similar groups.

    For a company of any size, a wave of abuse from online hate groups is difficult to handle but for smaller businesses like rural dairy companies it’s particularly hard as there’s little training for dealing with obnoxious and ill informed virtual lynch mobs and the resulting drop in morale can affect the entire workforce.

    Many managers would draw the conclusion that social media is a dangerous place that only exposes staff and the business to these vile individuals, however withdrawing totally from online channels might actually magnify the effects of being targeted as companies don’t see the internet campaigns developing.

    Reacting to a hate campaign is difficult however and much of how a company deals with being the target of one comes down to the owners’ and managers’ appetite for dealing with such a crisis.

    Submit to the mob

    The quickest way of defusing the situation is to agree to the mob’s demands, as Maleny and Fleurieu did, which has the advantage of relieving the stress on staff and management distractions.

    Submission though is not without its risks; the mob may not be happy or agreeing to their demands may upset other customers who actually spend money with the business.

    This latter point is something Australia’s agricultural industry and governments should be paying attention to as Middle East nations takes over ten percent of the nation’s food exports.

    Agreeing to one group’s demands may also irritate other equally other vocal groups which could actually make the problem worse. Ultimately though it comes down to what a company’s management is most comfortable doing.

    Should you decide to go along with the mob, don’t equivocate. Be absolutely clear about what you are doing and why you are doing it. This is something both Fleurieu and Maleny diaries have done.

    Don’t engage

    If the choice is not to submit, either on principle or for commercial reasons, then it’s necessary to be prepared for continued criticism with staff and management coming under further stress. It’s important everyone is supported by the team in the face of often vile and crude behaviour.

    One of the key tenants of online marketing and community management is to engage with your critics, however there is a point where trying to engage with irrational people is pointless and possibly even counterproductive.

    When that point has been reached, then there is no need to reply to them and any inflammatory or provocative posts should be deleted. The saying of “don’t feed the trolls” applies.

    Should commenters become too strident or silly then they should be blocked and, if they are misbehaving on a social media site, their actions reported to the service’s management. Any threats of violence should be immediately documented and a complaint made to the police.

    Don’t provoke

    Provoking these groups is also a mistake, descending to their level of behaviour will only encourage them and their friends along with risking alienating your own supporters. Keep things professional and straight forward.

    Not being a dill yourself is something that could have heeded by one of the other businesses that found itself on the receiving end of an online lynch mob this week. Mark Clews, the proprietor of Tuk Tuk Hunter Valley, was on the receiving end of an online campaign after a snarky post about a vegetarian who visited his hamburger bar in the wine country north of Sydney.

    Reading the Tuk Tuk Facebook page quickly gives one the impression Clews enjoys an online fight and he certainly got one which led to his business receiving dozens of poor reviews and at least one critic set up a Facebook page, later taken down after legal threats, highlighting the business’ poor reviews.

    In a heated environment — be it vegetarianism, Halal certification or any sort of politics — it’s worthwhile business owners keeping their own personal views separate from their company’s online presence.

    The moral of all three of these stories is the internet is a tough place and in today’s increasingly intolerant society one not without its risks. While every business needs to have an online presence, it’s necessary to be prepared for when the online mob appears with virtual torches at your door.

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  • Microsoft’s search for a strategy

    Microsoft’s search for a strategy

    The decision of Microsoft to offer its Office tablet apps for free last week has had the desired effect with them rocketing to the top of the charts as people enthusiastically grab them.

    Microsoft’s decision pretty well locks its resellers into the loss leading strategy the company flagged last week in China, with the tablet apps available for free its hard for retailers and integrators to be charging for the desktop version.

    That loss leader strategy has been further laid out by CEO Satya Nadella at a function in London yesterday where he described their cloud and mobile first strategy, something he also discussed at a briefing to ‘a small gathering of journalists’ last week.

    Nadella’s vision isn’t really anything new; it differs from Ballmer’s ‘devices and services’ strategy but the thrust of the business was always going to be on cloud services and the company’s Azure services regardless of any conceits around tablets or professional offerings.

    Of the three key areas Nadella identifies — Windows, Office 365, and Azure — two of them are problematic; the Office 365 for reasons already mentioned and the Windows product line.

    The ‘Windows everywhere’ strategy, which also happens one of Ballmer’s earlier initiatives, is doomed as the operating system is not suitable for smartphones or lightweight internet of things devices.

    Even if Windows was successful on smartphones or could be successfully ported to low powered smart devices, the margins are tiny compared to the traditional desktop market that was so profitable for Microsoft in the past.

    All of which brings Microsoft back to Azure; it’s clear the cloud service is the future of the company but the margins are dire except for some relatively niche areas like collaboration software.

    Mantras about ‘productivity’ count for nothing as every software and cloud computing company cater for the B2B market is delivering a service that claims to improve customers’ productivity. That Office is declining as a profit centre only makes things harder for the company.

    If anything, Nadella’s discussions illustrate the company is still casting around for the next big profit centre. As the Windows and Office franchises decline, time may start to run out for the current management just as it eventually did for Ballmer.

    Giving away Office apps may lock some users into the 365 service and could prove moderately profitable, but last week’s moves indicates a much smaller future For Microsoft.

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  • Navigating a platform shift

    Navigating a platform shift

    One of the companies that defined the desktop computing revolution in the 1990s was Autodesk.

    The company’s AutoCAD program bought Computer Aided Design to the masses and probably was the single main reason for the extinction of the drawing board in design offices.

    In the post-PC world Autodesk itself is having to deal with a dramatically changed market as software moves onto the cloud, workplaces become more collaborative and the computing world becomes based upon mobile devices rather than static desktop computers.

    As Autodesk’s Asia Pacific Senior Vice President, Pat Williams, described at the Autodesk University Extension in Sydney today there are three major disruptions happening to industry in general; to production, consumption and connections.

    Disrupting design

    “Technology and expectations are empowering users and disrupting how things are made,” Williams told the audience as he demonstrated Autodesk’s range of design, simulation and rendering tools that the company hopes will keep it ahead of a rapidly changing marketplace.

    “How we make things and bring them to market is changing,” says Williams. “We simply don’t design, manufacture or even imagine the as-built environment as we have in the past.”

    “The other thing that’s changing is how we connect and share ideas, which changes the way we create. No longer is the lone designer a reality we can live with any more.”

    Along with connections between workers changing production and consumers sharing their experiences creating new consumption patterns, Williams also sees the connectivity between devices and materials as changing the way things are designed and manufactured.

    “The way things connect with each other interconnect and relate is deeper than ever before. It’s getting easier to create complex systems that talk to each other and the design and physical use depends upon their interconnectivity.”

    Williams echoes the ideas of designer Gadi Amit and materials engineer Skylar Tibbits on how smart materials are going to change manufacturing and design.

    3D printing drives change

    One of the big drivers of change in the design industry is 3D printing that allows both more complex components to be manufactured and will change some industries — most notably the construction industry as bricklaying, concrete pouring and formwork can be done by large scale printing.

    Given the influence of the 3D printing, it’s not surprising that Autodesk have launched a hundred million dollar investment fund to help startups leverage the new technologies.

    As one of the companies that benefited from the desktop PC revolution, Autodesk are finding themselves having to adapt to a very different marketplace. Their cloud based products will need to be nimble to succeed to in a very demanding and volatile marketplace.

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